The Compound Investor

  • The Flip Side To Procter & Gamble’s Recent Success

    My view for a long time has been that ultra-high quality defensive stocks should be afforded extra leeway during periods of business-level stagnation. Procter & Gamble (PG) provides a good case study for this. Among the many thousands of publicly listed firms there are relatively few that match the business of selling brands like Tide,…

  • Bank of America Stock Gets A Whole Lot Cheaper

    Well, it has certainly been an interesting week for the banking industry. The failure of Silicon Valley Bank has sent bank stocks into a tailspin. The regionals and smaller niche lenders have fared the worst, but even the big money center banks like Bank of America (BAC) have been caught up in the maelstrom.

  • McDonald’s: Wading Through Some Slight Macro Issues

    At $263.45 at time of writing, McDonald’s (MCD) stock is within 6% of its record high reached in Q4 CY2022. While the macro environment has deteriorated for restaurant operators, McDonald’s stock has proven resistant on (1) a business model that largely shields it from restaurant-level economics, and (2) a relatively flat P/E ratio that has…

  • Coca-Cola: Showing Its Quality With Strong 2022 Results

    I know “Coke v PepsiCo” articles seem to be cropping up left, right and center at the moment, but having recently covered the latter it only seems right to follow up with a piece on Atlanta-based Coca-Cola. For my part I see these two as being complimentary: Coke for the beverages and PepsiCo for the…

  • PepsiCo: Knocking It Out The Park

    It is a good time to be a PepsiCo (PEP) shareholder. I admit to being unsure how shares of the New York-based giant would fare heading into the environment of last year. I had no qualms on the business side of things; PepsiCo was also going to be relatively well-positioned to deal with inflationary conditions.…